The ASX200 has finished down 0.3 per cent in its first losing day this month after the Reserve Bank raised interest rates for the first time in five meetings.
The ASX200 spent the day hovering above and below the 7,000 level, eventually finishing just under it, while the Australian dollar hit a three-month high.
The local share market has finished 0.85 per cent higher in its best performance in three weeks, as a Federal Reserve announcement on rate hikes looms.
An independent assessment of Australia's economy suggests interest rates will need to lift higher and governments will need to pitch in to bring inflation down.
Australian shares gave up their gains after a hotter-than-expected domestic inflation report dramatically increased the odds of another rate hike next month.
Cameron Blaine, who became the face of the dramatic Cleo Smith rescue mission in 2021, has resigned from WA Police ahead of a looming Corruption and Crime Commission report.
